They enable both employees and the startup to easily monitor progress and adjust as required to be successful

Defining good performance objectives

There is a simple approach to define good performance objectives. The key lies in remembering the acronym SMART. Each letter reminds you of an important element when creating objectives:Specific: Set clear expectations—as specific as possible. This keeps people focused on exactly what you need from them.

Measurable: Make items as quantifiable as you can. If the objective can be defined using numbers, do so. If not, establish as many defining parameters as possible.

Achievable: Determine how you’re going to accomplish the goal, as the end does not always justify the means.

Realistic: Ensure that the expectations are reasonable and within the employee’s area of control. This will keep employees motivated and avoid frustration and disillusionment, which generally leads to failure.

Time-based: Fix timelines for each goal. This keeps staff focused.

Example: Strategic performance objective

A loosely defined, ineffective objective might be worded as “close more files by next year.”

In contrast, a clear strategic objective would state: “By March 31, 2015 we will increase by 15% the number of help-desk work orders closed within 24 hours. This is to be achieved by hiring and training a new help-desk representative, and by using a budget of $100,000 to select and implement a more efficient tracking system.”